Unemployment up and wage growth slows down – a recappublished at 09:53 GMT
09:53 GMT
Maia Davies
Live reporter
We’re continuing to go through the latest UK unemployment data, released by the Office for National Statistics earlier this morning. Here’s an overview of what we’ve been reporting so far:
The main takeaway: Unemployment reached its highest rate in nearly five years in the last three months of 2025.
We also learned: Annual wage growth slowed in the same period, redundancies trended up, and more people were looking for jobs.
The ONS says: The data reflects “weak hiring activity”, according to its director of economic statistcs.
Analysis: Increases in employers’ National Insurance contributions and the National Living Wage, and changes made in the Employment Rights Act, have all contributed to uncertainty, our business editor Simon Jack writes.
Political reaction: Work and Pensions Secretary Pat McFadden says the figures show there are 381,000 more people in work since the start of 2025, but that there is “more to do”. Conservative shadow chancellor Mel Stride says: “Higher taxes – including a tax on jobs, soaring business rates, and anti-business red tape that piles on risk is making it harder to employ people.”
One recent graduate tells us: “It can be really soul destroying when you study for so long and you don’t get anywhere.” She tells us 50 applications for entry-level roles have led to only one face-to-face interview. “All my friends are talking about is the job search.”